Monday, March 30th9.3°C
25326
25263

Canadian housing affordability erodes

The Royal Bank says modest increases in home prices and mortgage rates slightly eroded Canadian housing affordability in the second quarter.

The RBC housing trends reports says it was the second straight three-month period in which housing affordability declined in Canada.

The increase in the cost of owning a home as a share of household income followed back-to-back quarterly declines in the latter half of 2011.

Affordability deteriorated in two of three housing categories, detached bungalows and two-storey homes, while condominiums were flat.

Detached bungalows were 0.2 percentage points less affordable, while the measure for two-storey homes worsened by 0.6 percentage points.

The national numbers for bungalows was exaggerated by extremely poor affordability in the Vancouver area, but had little impact on two-storey homes.

The Vancouver-area continued to be, by far, the least affordable in Canada and was very close to the worst on record, said the report released Monday.

The Toronto-area market also deteriorated. While home ownership costs were above the historical average, they were still well below the peaks experienced during the housing bubble in the late 1980s.

Strong activity worsened affordability in Saskatchewan and Manitoba, but were near their historical norms. Atlantic Canada suffered a modest deterioration.

Montreal and Alberta bucked the national trend by showing some improvements in affordability.

RBC says the Canadian housing market showed signs of cooling in the second quarter as home resales fell in May and June but were stable in July. That followed strong activity at the start of the year.

The Canadian Press


Read more Business News




Recent Trending




Today's Market
S&P TSX14812.42-57.38
S&P CDNX681.43+1.87
DJIA17712.66+34.43
Nasdaq4891.22+27.86
S&P 5002061.02+4.87
CDN Dollar0.7921-0.0008
Gold1196.30-8.80
Oil47.92-0.95
Lumber282.60-3.60
Natural Gas2.62-0.05

 
Okanagan Companies
Pacific Safety0.125-0.005
Knighthawk0.010.00
QHR Technologies Inc1.50+0.00
Cantex0.03-0.01
Anavex Life Sciences0.219+0.009
Metalex Ventures0.04-0.01
Russel Metals24.50-0.18
Copper Mountain Mining1.13+0.00
Colorado Resources0.125+0.010
ReliaBrand Inc0.006-0.001
Sunrise Resources Ltd0.045+0.000
Mission Ready Services0.255+0.020
Decisive Dividend Corporation1.80+0.02

 



24393

FEATURED Property
22001394621 Parkridge Drive
3 bedrooms 3 baths
$595,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


CRA Notice of Assessment

Many Canadians rush to file their taxes on time each year and don’t think about it until the next year. One of the most overlooked notices received from the CRA annually is the annual Notice of ...


Medical confidential?

If ICBC asks your doctor for your information you may wonder: Can ICBC ask my doctor for my medical information? Can ICBC request a medical report from my doctor without my consent? What is ICBC entit...


Stay out of sales limbo!

Have you ever had a series of good meetings with a prospect … gathered all kinds of information … and given what you thought was a great presentation … only to receive a response ...

_





25482


Member of BC Press Council


25342